Half Of All Self-Described "Planners" Don't Actually Do Any Planning, Cerulli Discovers


Cerulli found that 59% of the industry claims the "financial planner" title but nearly all of them would really be more accurately classified as "investment" planners. 


On review, they concluded, "Only 30% truly offer planning services."


"Advisors tend to overestimate the degree to which they are involved in the planning process. The movement to extend advice services is likely being accelerated by turbulent markets, as advisors who base their value to investors on investment performance have suffered more than those with broad advice relationships," says Scott Smith, head of Cerulli's intermediary practice.


The problem here, Cerulli explains, is that most retail clients -- those with between $500,000 and $2 million to invest -- "have relatively straightforward service requirements."


But with management and industry opinion pushing advisors toward a more comprehensive service offering, a lot of those estate, charitable, business planning, and private banking services go unused.



This Website Is For Financial Professionals Only